Rio Tinto eyes RP comeback

Rio Tinto, the world’s largest mining company, is considering staging a comeback in the Philippine mining industry, a top mining executive said.

Chamber of Mines of the Philippines president Benjamin Romualdez said he would meet with officials of Rio Tinto within the next two to three weeks to discuss the possibility of the company’s re-entry into the country.

"They’re coming back to the Philippines and decide if they should invest here," Romualdez said.

The decision of the Supreme Court (SC) upholding the legitimacy of the Philippine Mining Act of 1995 has brought back the confidence of foreign mining investors in the country given its vast mineral resources.

Rio Tinto, which has more than 60 operations in 40 countries, earlier invested in Lepanto Consolidated Mining Corp.

It is expected that investments from local and foreign companies would reach $3.1 billion this year alone. The members of the China Chambers of Metals, Minerals, and Chemical Importers and Exporters (CCMMC) have also pledged combined investments of about $1.3 billion in the next six years.

Total mining wealth in the Philippines had been placed at $840 billion but most of these reserves had remained untapped due to previous laws restricting mining to local companies

Major products of the Rio Tinto group include aluminum, copper, diamonds, energy products (coal and uranium), gold, industrial minerals (borax, titanium dioxide, salt, talc and zircon), and iron ore.

The group’s activities span the world but are strongly represented in Australia and North America with significant businesses in South America, Asia, Europe and Southern Africa.